| December 23, 2009 |
| Kirrin Resources Closes Fully Subscribed Flow-Through Offering |
CALGARY, ALBERTA--(Marketwire - Dec. 23, 2009) - Kirrin Resources Inc. (the "Corporation") (TSX VENTURE:KYM) today announced that it has completed the non-brokered private placement announced on November 19, 2009. Kirrin has issued 5.7 million flow-through units ("FT Units") at a purchase price of $0.14 per FT Unit for a total of $798,000 ("the Offering"). The results of the first closing were announced on December 10, 2009. In addition to the 2.5 million FT Units purchased by the MineralFields Group in the first closing, an additional insider of the Corporation purchased less than 1% of the FT Units pursuant to the Offering.
Each FT Unit consists of one flow-through common share and one common share purchase warrant ("Warrant"). Each Warrant is exercisable into one common share at a price of $0.20 per common share for 12 months from the date of issuance and $0.25 per common share for the following 12 months, subject to earlier expiry in certain circumstances. The issued securities are restricted from resale for a period of four months from the date of issue.
First Canadian Securities(R) ("FCS"), a division of Limited Market Dealer Inc., received an agency fee of $22,845 and was issued an option exercisable for 24 months from December 8, 2009 to purchase up to 250,000 units of the Corporation ("Units") and an option for 24 months from December 22, 2009 to purchase up to 159,921 Units at an exercise price of $0.14 per Unit. Each Unit comprises one common share of the Corporation and one common share purchase warrant exercisable into one common share of the Corporation at a price of $0.20 per common share for 12 months from the date of issuance and $0.25 per common share for the following 12 months, subject to earlier expiry in certain circumstances. In addition, FCS received a due diligence fee defrayed by the issue of 246,745 Units with an equivalent value of $34,544. Finder's fees in the amount of $22,200 and finder's options for 24 months from December 22, 2009 to purchase 158,571 Units at an exercise price of $0.14 per Unit were paid to arm's length finders in connection with the total Offering. $5,250 of the finder's fees was defrayed by the issue of 37,500 Units.
The proceeds from the Offering will be used for exploration on Kirrin's portfolio of rare earth element (REE) and uranium properties.
Additional information relating to Kirrin is available on Kirrin's web site at www.kirrinresources.com and on SEDAR at www.sedar.com.
Kirrin is engaged in REE and uranium exploration in Newfoundland & Labrador and Quebec and in the expansion of its portfolio through acquisition, merger, strategic partnership or joint venture. Its strategy is well defined: enhancing shareholder value by combining technical expertise, corporate development skills and professional management. Kirrin's shares trade on the TSX Venture Exchange under the symbol KYM.
About MineralFields, Pathway and First Canadian Securities(R)
MineralFields Group (a division of Pathway Asset Management), based in Toronto, Vancouver and Calgary, is a mining fund with significant assets under administration that offers its tax-advantaged super flow-through limited partnerships to investors throughout Canada as well as hard-dollar resource limited partnerships to investors throughout the world. Pathway Asset Management also specializes in the manufacturing and distribution of structured products and mutual funds (including the Pathway Multi Series Funds Inc. corporate-class mutual fund series). Information about MineralFields Group is available at www.mineralfields.com. First Canadian Securities(R) (a division of Limited Market Dealer Inc.) is active in leading resource financings (both flow-through and hard dollar PIPE financings) on competitive, effective and service-friendly terms, and offers investment banking, mergers and acquisitions, and mining industry consulting, services to resource companies. MineralFields and Pathway have financed several hundred mining and oil and gas exploration companies to date through First Canadian Securities(R).
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Forward-looking information: Except for statements of historical fact, all statements in this news release, without limitation, regarding new projects, acquisitions, future plans and objectives are forward-looking statements which involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from those expressed or implied by such forward-looking information. Risks include delays in obtaining or failure to obtain regulatory approval. Except as required by applicable securities legislation, the Company undertakes no obligation to publically update or revise forward-looking information, whether as a result of new information, future events or otherwise.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. | |